Malaysia-Italy enterprise network proposed to deepen industrial ties
The proposed framework could help Malaysian manufacturers access Italian technology and give Italian firms a broader regional operating base.
The Centre for Market Education (CME) has proposed an Italy-Malaysia Enterprise Network to connect businesses and support industrial cooperation. In its October 2026 policy brief, CME said the framework could help Malaysian manufacturers obtain advanced technology and take on higher-value production.
The proposal envisages cooperation on engineering, adapting products, certification, manufacturing, distribution and technical training. CME said shared servicing operations could also help participating businesses reach customers across ASEAN.
According to CME, Italy exported €1.68 billion to Malaysia in 2025 and imported about €1.7 billion from Malaysia. It said about 150 Italian companies operate in Malaysia, providing a basis for deeper industrial collaboration.
CME said Italian firms bring machinery, automation, design and process-engineering expertise, but specialised manufacturers may lack the scale to establish their own regional support operations. Malaysian businesses, meanwhile, offer production capacity, suppliers and customer access, but may lack proprietary technology, ownership of designs and technical specifications for higher-value work.
Under the proposed arrangement, machinery makers and component suppliers from Italy could work alongside Malaysian precision-engineering businesses, software integrators and regional service providers. CME said some production and assembly could be localised, while Malaysian participants could qualify to European standards and enter new value chains.
